Puerto Vallarta (PVDN) – It’s getting more expensive for Americans in Mexico as the US Dollar takes a hit against the Mexican Peso. What was an exchange rate of $20.17 pesos to the dollar just four months ago, has now dropped to $18.60 pesos to the dollar.
After the inflation figures for the US economy came out in line with expectations in monthly terms and the annual rate was placed above expectations, the peso against the dollar continues to strengthen at 18.60 per dollar.
Four months ago, the exchange rate stood at $20.17 per dollar.
Data from Bloomberg indicate that the Mexican peso appreciates today by 0.06 percent, or 1.11 cents, compared to its close on Monday. And the exchange rate is currently at 18.58 pesos per dollar.
In banks, the dollar is sold at 19.04 pesos per greenback, according to data from Citibanamex.
“Today was the most anticipated day in recent weeks for the markets, due to the US inflation report, which has given us a lot of volatility in the last hour given that the data indicates that the rate of decline of the data has not been the best, causing nervousness in the negotiations of different assets such as the USDMXN, which has weakened, taking the Mexican peso to the 18.50 mark,” said Eduardo Ramos, financial markets analyst for ATFX LATAM.
The dollar index (dxy) which measures the strength of the US currency against six currencies from developed countries shows a decrease of 0.24 percent, at 103.11 units.
Similarly, the Bloomberg dollar index (bbdxy) is placed around 1,234.43 points, with a decline of 0.08 percent.
In the money market, the 10-year bond yield for the United States is 3.72 percent, while the 10-year bond in Mexico remains at a level of 9.20 percent.
Among the most appreciated currencies, this morning is the Hungarian forint with 1.14 percent, the Swedish crown with 0.82 percent, the Polish zloty with 0.77 percent, the pound sterling with 0.63 percent, and the South Korean won with 0.62 percent, to mention a few.
